Argosy Minerals Ltd (ASX:AGY) has announced the signing of a Spot Sale Contract with a Korean customer for the sale of 20 metric tonnes of battery quality lithium from its Rincon lithium project in Argentina.
The two companies have confirmed an agreed fixed price, based on Fastmarkets’s price guidance for 99.5% Li2CO3 (lithium carbonate) minerals which is battery grade, with the spot prices also considering CIF (cost, insurance and freight) to China, Japan and Korea – an industry standard benchmark index reference.
Payment terms comprise an irrevocable letter of credit at sight, and payment immediately on receipt of original shipping documents, and Argosy is now focused on logistics, with the cargo set to be transported once freight and export protocols have been completed.
Argosy Managing Director, Jerko Zuvela said the deal was an important step for the Rincon project – located in Argentina’s Salta province.
“We are pleased to achieve the sale of our battery quality lithium carbonate product, with the aim to realise a premium sales price given current lithium market conditions,” he said.
“We received strong interest for our high quality Li2CO3 product and we’ll review our sales
strategy for our current available product.
“This milestone further confirms Argosy’s ambitions and near-term growth phase to fully develop our Rincon Lithium Project.”
Argosy has been trading at 8 cents.